Ukraine had 0.5% inflation in Sept, annual figure fell to 7.1%

Consumer prices in Ukraine rose 0.5% in September after dropping 1.4% in August and 0.6% in July, Ukrainian media reported, citing the State Statistics Service.

Annual inflation slowed to 7.1% in September from 8.6% in August and 11.3% in July.

Core inflation was 0.9% in September and zero in August, as in July. It slowed to 8.4% in annual terms in September, from 10% in August and 12.3% in July, Azernews reports, citing Interfax.

Headline inflation was 3% and core inflation was 4.1% for 9M 2023.

Food and non-alcoholic beverages fell 0.5% in price in September. Vegetables fell the most, by 9.7%. Prices for fruits, processed grain products, rice, sunflower oil, fish and fish products fell 0.4-5.1%. Prices for eggs rose 12.3%, and prices for butter, sugar, meat and meat products, salo, bread and milk went up 0.5-1.3%.

Prices for alcoholic beverages and tobacco products increased by 0.7%, due to 1.4% growth for tobacco products.

Clothing and footwear prices increased by 7.8%, including footwear by 8.2% and clothing by 7.6%.

Transport fares grew 2.2% due to a 4.9% rise in the cost of fuels and lubricants. Rail fares fell 3.2%.

Education services increased in price by 9.9%, with secondary up 13.9%, higher 11.5% and preschool 5.4%.

The National Bank of Ukraine at the end of July improved its inflation outlook for the year, from 14.8% to 10.6%, but said last week that it planned to continue to revise this down.

Ukraine had headline inflation of 26.6% in 2022 and 10% in 2021, and core inflation of 22.6% and 7.9%, respectively.